Meesho Seller Glossary — Key Terms Explained

A complete reference of terms every Meesho seller needs to know — from TCS and GST filing to shipping slabs and seller scores.

Tax & Compliance

TCS (Tax Collected at Source): A tax collected by Meesho at 1% on net taxable sales before remitting payment to sellers. Sellers claim TCS credit while filing GSTR-3B.
GSTR-1: Monthly/quarterly GST return declaring all outward supplies (sales). Meesho sellers must include marketplace sales with correct HSN codes and tax rates.
GSTR-3B: Monthly summary return for paying GST liability. Sellers offset TCS credit against output tax. Filed by the 20th of the following month.
HSN Code: Harmonized System of Nomenclature — a 6-8 digit code classifying goods for GST. Common: 6109 (T-shirts), 6204 (women's suits), 4202 (bags).
CGST / SGST / IGST: Central GST + State GST for intra-state sales. Integrated GST for inter-state. Total rate is the same (e.g., 5% IGST = 2.5% CGST + 2.5% SGST).

Weight Slab: Meesho's shipping cost brackets: 0-500g, 500g-1kg, 1-2kg, 2-5kg. A 501g package costs significantly more than 499g.
RTO (Return to Origin): When a customer refuses delivery. Meesho charges reverse shipping. Average RTO rate: 25-35%.
Dead Weight vs Volumetric Weight: Shipping charged on whichever is higher. Volumetric = (L × B × H) ÷ 5000 (cm/kg).
COD (Cash on Delivery): ~70% of Meesho orders. Higher RTO rates (30-40%) vs prepaid (5-10%). Settlement: 7-15 days.

Seller Score: Composite rating (0-100) based on dispatch speed, RTO rate, cancellation rate, and customer ratings. Higher scores unlock better search ranking.
Penalty Points: Deducted for: late dispatch (2 pts), cancellation (3 pts), wrong product (5 pts). 30+ points leads to suspension.
Commission Rate: Platform fees: 1-20% by category. Fashion 5-10%, electronics 2-5%. Calculated on selling price before GST.